For most states, the budgeting process last year and this year has been grim. Because of the general lethargy of the U.S. economy during a recession that is slowly recovering, revenue for state spending has dropped sharply. Some states face a black hole representing the gap between spending needs and available funding -- amounting to billions of dollars.
Missouri has faced its share of belt-tightening too. In the fiscal year that ends June 30, $900 million in budget cuts were made. And even though the new fiscal year doesn't begin until July 1, Gov. Jay Nixon has already announced a reduction of $280 million in state programs from the $23.3 billion budget approved in the last legislative session.
Among the budget cuts are reductions of spending for public school busing and Access Missouri college scholarships. An additional 250 state jobs are being eliminated from the new budget, bringing the total since the start of 2009 to 2,500.
Any time cuts are made, there are bound to be those who complain. But the fact is Missouri cannot spend more than it takes in. Unlike so many other states, the Show Me State is finding ways to keep state spending within anticipated revenue. That's good news.
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